The Pulse October 11, 2024, global economic and market updates.

On October 11, 2024, global economic and market updates highlighted several key developments:

1. Inflation and Interest Rates: The U.S. Consumer Price Index (CPI) report showed an unexpected rise in core inflation to 3.3% in September, creating uncertainty about the Federal Reserve's next move. While the overall inflation rate dipped to 2.4%, the increase in core inflation has lowered the probability of a rate cut in November to around 85%​

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2. Labor Market: U.S. jobless claims surged to 258,000, mainly due to disruptions from recent hurricanes. This marked a significant jump from the previous week's 225,000 and signaled potential challenges in the labor market's resilience to economic conditions.​

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3. Equity Markets: U.S. stocks experienced slight declines, with the S&P 500 and Nasdaq edging as investors reacted to the inflation data. Nvidia and Amazon posted gains, which helped limit the losses, while tech shares in Hong Kong rose sharply, driven by optimism around anticipated Chinese stimulus measures.​

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4. Commodities: Oil prices climbed over 3%, fueled by concerns over potential Middle East supply disruptions and increased U.S. demand following Hurricane Milton. Gold also saw gains as investors turned to safe-haven assets amid economic uncertainty.​

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5. Corporate Earnings: The Q3 earnings season began with major financial firms like JP Morgan, Wells Fargo, and BlackRock reporting. The market focuses on how these earnings will reflect broader economic conditions, particularly amid mixed signals from the U.S. economy​. Be Invested. Trade globally online., Morgan Stanley.

Sources: https://www.home.saxo/en-mena/content/articles/macro/global-market-quick-europe---11-october-2024-11102024, https://www.home.saxo/en-mena/content/articles/macro/global-market-quick-take-asia--october-11-2024-11102024, https://www.capitaleconomics.com/publications/bonds-equities/global-markets-valuations-monitor-october-2024, https://www.morganstanley.com/ideas/thoughts-on-the-market-global-economic-roundtable-2024

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